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Key Details About Nigeria’s Domestic Dollar Bond

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The Federal Government of Nigeria has successfully issued a $500 million domestic dollar bond with a 9.75% interest rate. Here’s what you need to know:

  1. Minimum Investment
  • The minimum investment amount is $10,000, with additional investments in increments of $1,000.
  1. Interest Rate
  • The bond offers an interest rate of 9.75%, paid semi-annually. For a $10,000 investment, this equates to $487.5 in interest every six months for five years, with the principal returned at the end of the term.
  1. Issuance Purpose
  • This bond is part of a $2 billion program, issued in four $500 million batches. It aims to support infrastructure development, promote financial inclusion, and strengthen the domestic securities market. The proceeds will be invested in key sectors of the economy, pending presidential approval and National Assembly appropriation.
  1. Eligible Investors
  • The bond is available to Nigerians, non-Nigerians residing in Nigeria, Nigerians in the diaspora, and Qualified Institutional Investors.
  1. Issuance Duration
  • The offer was open from August 19 to August 30.
  1. Bond Tenor
  • The bond has a tenor of five years.
  1. Tax Benefits
  • Interest earned on the bond is exempt from Company Income Tax, Personal Income Tax, and Capital Gains Tax.
  1. Investment Advantages
  • Local investors can benefit from higher returns compared to interest rates on domiciliary accounts. For Nigerians in the diaspora, it offers better returns than those available in their countries of residence.
  1. Risk
  • Government securities are considered risk-free due to the backing by the government.
  1. Listing
    • The bond is listed on the Nigerian Exchange Limited (NGX) and the FMDQ OTC Securities Exchange Limited.
  2. Financial Advisers and Issuing Houses
    • The issuing houses include Meristem Capital Limited, Stanbic IBTC, and Vetiva, with United Capital as the lead. The African Finance Corporation is the global coordinator, with Constant Capital and Iron Capital serving as financial advisers.
  3. Differentiation from Local FGN Bonds and Eurobonds
    • This domestic dollar bond is issued locally in dollars with a minimum investment of $10,000. Eurobonds, issued abroad in foreign currencies, require a minimum subscription of $200,000. The domestic bond offers a higher return (9.75%) compared to the 9.58% yield on the Federal Government’s $1.25 billion 2029 Eurobond.
  4. Payment Method
    • Both capital and interest payments are made in dollars through the Nigerian banking system and electronic transfers.
  5. Bank Verification Number (BVN)
    • Investors, including those in the diaspora, must provide their BVN for verification.

The bond presents an opportunity for investors to benefit from high returns while supporting national development projects.

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Business

Dangote Refinery Boosts Fuel Exports as Gulf Refineries Shut Down

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By: Fabian Apechihin

The Dangote Petroleum Refinery has ramped up fuel exports to international markets amid widespread refinery shutdowns in the Middle East, industry sources confirmed.

A senior official at the $20bn Lagos-based plant told The PUNCH that the facility exported significant volumes of petrol (PMS), diesel (AGO), and aviation fuel (Jet A1) to foreign buyers in August, following earlier shipments in June and July.

The surge comes as Saudi Aramco and other regional producers face heavy maintenance schedules, tightening fuel supply. Aramco has already shut down two plants and plans further closures, including its 460,000 b/d Satorp refinery in Jubail for a 60-day turnaround in November–December. Kuwait and India are also scaling back capacity for maintenance and seasonal demand.

According to Argus Media, these shutdowns are pushing Gulf nations to import record volumes of gasoline, with Saudi Arabia and the UAE sharply increasing purchases from Europe and other markets in recent months.

While some reports pointed to operational constraints at Dangote’s 650,000 b/d facility, the company dismissed such claims, insisting production is on track to reach 700,000 b/d by December. Earlier this year, Aliko Dangote announced the refinery had sold two cargoes of jet fuel to Saudi Aramco and recently achieved exports of about 1 million tonnes of petrol between June and July.

“With Gulf refiners offline, Nigeria has now emerged as a net exporter of refined products,” Dangote said.

Analysts suggest the extended refinery outages in the Middle East will further strengthen demand for Dangote’s output, positioning the Nigerian plant as a key supplier in regional fuel markets.


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US Oil Exports to Nigeria, Others Fall to 3.3m bpd as Local Output Rises

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By: Fabian Apechihin

The United States’ crude oil exports to Nigeria and other African countries fell for the fifth consecutive month in July 2025, averaging 3.3 million barrels per day (bpd), the lowest level since March 2022.

The Organisation of Petroleum Exporting Countries (OPEC) disclosed this in its August 2025 Monthly Oil Market Report (MOMR), attributing the decline to weaker flows to Europe and Africa, particularly Nigeria, but without giving further details.

Industry analysts link the slowdown to the ramp-up of local refining capacity, especially the 650,000 bpd Dangote Refinery, which has reduced Nigeria’s reliance on imported crude, including from the US. Vanguard checks also show that crude importation has slowed further in recent months due to improved domestic production.

According to OPEC data, Nigeria’s crude oil output—excluding condensates—rose by 11 per cent year-on-year to 1.559 million bpd in July 2025, up from 1.386 million bpd in the same period of 2024. This marks the country’s highest monthly production level so far this year.

The Nigerian Upstream Petroleum Regulatory Commission (NUPRC) corroborated the figures, stating that overall output, including condensates, exceeded 1.8 million bpd in July.

Gbenga Komolafe, Chief Executive of the NUPRC, said the milestone was achieved through the agency’s “Project 1 MMBOPD Incremental” initiative, supported by a multi-stakeholder collaborative framework.

“We are glad to report that we crossed the 1.8 million bpd mark on peak production last month, with average production hovering at 1.78 million bpd,” Komolafe stated.

He added that the Commission is working to sustain production growth by optimising the Maximum Efficient Rate (MER) framework, improving produced water management, and aligning operational shutdowns and maintenance schedules to minimise disruptions.

“With these measures and continued collaboration, the presidential mandate on production increase is well within reach,” he said.


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NDYPC Hails Otuaro’s Reforms in Presidential Amnesty Programme

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• Lauds transparency, fairness in beneficiary selection and grassroots empowerment

• Says reforms align with Tinubu’s Renewed Hope Agenda, restore trust in Niger Delta

The Niger Delta Youths for Positive Change (NDYPC) has commended the Administrator of the Presidential Amnesty Programme (PAP), Dr. Dennis Otuaro, for what it described as bold, people-focused reforms that are restoring trust and delivering tangible benefits to the Niger Delta.

In a statement signed and issued by Comrade Elliott Yibakeni, after the conclusion of leadership training sessions with ex-agitator leaders in Abuja, the group said the PAP, once in urgent need of renewal, is now undergoing a transformation that reflects transparency, fairness, and accountability.

“At a time when public trust in institutions was waning, Dr. Otuaro has emerged as a symbol of credibility and transformation,” the statement read. “His visionary leadership is restoring integrity, empowering communities, and driving a sustainable development agenda that resonates with the aspirations of the Niger Delta.”

According to NDYPC, under Otuaro’s leadership, beneficiary selection has become fair and merit-based, ending years of favoritism and political interference. The group added that access to education, skills training, and empowerment opportunities, both locally and abroad, is now guided by equity and open competition.

The group highlighted several internal reforms, including improved staff welfare, strengthened professional capacity, and strict adherence to best practices in public procurement. These, it said, have made the PAP more efficient, responsive, and transparent.

NDYPC also praised Otuaro’s inclusive governance style, noting his sustained engagement with traditional rulers, women leaders, civil society organizations, and local communities. This approach, the group said, has strengthened peace-building efforts and deepened trust between the PAP and the people it serves.

In line with President Bola Ahmed Tinubu’s Renewed Hope Agenda, the PAP has maintained consistent payment of stipends to ex-agitators and extended direct support to vulnerable populations. NDYPC also applauded new healthcare interventions for ex-agitators facing health challenges.

The statement further commended the programme’s investments in scholarships, vocational training, and economic empowerment initiatives aimed at preparing Niger Delta youths for leadership, innovation, and sustainable livelihoods.

“Every decision reflects a deep commitment to public trust, responsible stewardship, and long-term development,” NDYPC stated. “Under Dr. Otuaro’s watch, the Niger Delta is rising stronger, united, and filled with renewed hope.”

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